Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1887-06-24
INTERSTATE COMMERCE DECISION.
Interpretation of the Long and Short
Haul Clause.

WASHINGTON. June l7-The more i'm
State commerce commission upon the
fourth section of the Interstate commerce
act, which prohibits greater charge for
She transportation of passengers and
property over shorter than over longer
distance in the same direction under sub
stan5ially similar circumstances and con-
cDtl0ns is as follows:
That the provisions of section I, requir-
IN charges to he reasonable and Just and
o. section ., forbidding unjust diScrimina-
LiC0, apply when exceptional charges are
made under section !, as they do i'll other
cases
That Che existence of actual competi.
Ilu., which Is Of controlling force in re-
spect 10 traffic important in amount, may
make ont the dlSSlmilar circumstances
ard conditions emitting the carrier to
charge less for the longer than for the
shorter haul over the same line in the
same direction, the shorter being included
II the longer in the following cases:
!. When the competition is with carriers
3y water which are not subject to the pro
visions of the statute.
J. When the competition is with foreign
or other railroads which are not subject to
She provisions OF the statute.
:. In rare and peculiar cases of cOmpCti-
GlCu between TdllTOduS winch are subject
TO the statute, when Il strict application
Of the general rule of the statute would be
destructive of competition.
The commission further decides that
when greater charge in the aggregate is
Snade for the transportation of passengers
or the like kind of property for shorter
than for a longer distance over the same
line in the same direction. the shorter be-
ing included III the longer distance. it is
not sufficient justification therefor that
the traffic which is subjected to such
greater charge is way or local traffic, and
that which IS given the more favorable
rates is not. Nor is it sufficient justltica
tiQu for such greater charge that the
shOrt-haul traffic is more expensive
to the carrier, unless when the
circumstances are such as to make il
exceptionally expensive, or the long hau
traffic exceptionally inexpensive, the diff
Terence being extraordinary and Suscepti
ole Of definite proof. Nor that the LESSEE
charge on the longer haul has for the mo
i've the announcement OF manufacture!
or some other branch of industry. No
that It is designed to build up business o
trade centres. Nor that the lesser charg
on the longer haul is merely a continue
zion Of The favorable rates under whicl
trade centres or industrial establishment
nNye been built up. The fact that Ion!
H4ul traf1ic will only bear certain rates i
no reason for carrying it for less than tn
Sos, at { he expense of other traffic.
Concerning competition with Canadial
C0HaS he commission says:
Competition with Canadian roads may
Il II believed, present case of dissimila
circumstances and conditions. When
ever such roads compete with roads in tn
L nIted states for business between on
part OF our country and another state G
circumstances arises and exists as to sue
business which justifies American road
In meeting such competition by a CORES
9ondiug reduction of rates, without II
iI6Et TO the fact that in SO doing the rate
between the terminals may be reduce
beio" rates to and from intermediat
places which are otherwise reasonable an
lust in themselves The fact that Amer
CJul roads are left free to meet such con
petition is of itself an assurance that Il
extensive war of rates is likely to be Ell
gGaed in by the Canadian roads, or,
engaged in, to be long pursued.